Case Study When qualified applicants are scarce, recruiting becomes extremely co

Question

Case Study

When qualified applicants are scarce, recruiting becomes extremely competitive, particularly when two companies go after the same candidate, as often happens in the case of searching for professionals. After interviewing three short-listed candidates, a high-tech company, Com- pany X, made an offer to one and advised the other two candidates that they were unsuccessful. The successful candidate was given one week to consider the offer. The candidate asked for a week’s extension to consider the offer but was granted only an additional three days. At the end of the time period, the candidate verbally accepted the offer and was sent a contract to sign. Rather than returning the signed contract, the candidate informed Company X that he had accepted a position at Company Y. He had received the second offer after verbally accepting the first position at Company X. The second company knew that the candidate had verbally accepted Company X’s offer. Before accepting Company Y’s offer, the candidate had consulted a respected men- tor who advised him to ignore his verbal commitment to Company X and to accept Company Y’s offer. There were no substantial differences in the salaries being offered by each company or in the work that each would expect the candidate to perform. The candidate simply saw Company Y as the more prestigious of the two employers.

Questions

Did Company Y actethically, knowing that the candidate had verbally accepted another offer?

Explanation / Answer

Summarising above condition before moving to conclusion: A candidate has 2 offers of same kind of work role and salary, Company X provided 3 additional days only when candidate asked for a weeks extension. In the mean time company Y offered him the job knowing that he has an offer from Company X. After consulting with a mentor, candidate accepted company Y's offer and compared that Y is most prestigious.

Company Y acted ethically, knowing that candidate has offer (verbally accepted) from Company X. According to me, there is no such big question of ethics between the companies. As recruiting right candidate is also a competition. Just like companies compete in market to increase their market share, in the similar way have right man power is also a kind of competition between recruitment teams of both the companies. After all right mix of people grows the company in market. It is absolutely a part of competition. Also we can note that the offer accepted was verbal only, it was not wriiten not signed and even the candidate did not joined Company X. These are acceptable modes to gain right candidate for the job. Although the final decision was over the candidate only, that which company he wants to join for betterment of his career, despite of similar job roles and substantial salaries. Candidate was supposed to decide finally as per his/her motto of career growth (in terms of salary/long term goals etc)

Overall in such a competitive environment this must be acceptable at least when there is nothing in written and things are moving verbally.

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